Alabama Workers' Comp Blawg

  • 27
  • May
  • 2009

REPRESENTATIVE TANNER REINTRODUCES WC MEDICARE SET-ASIDE REFORM

Representative John Tanner, of Tennessee’s 8th Congressional District, recently reintroduced the Medicare Secondary Payer and Workers’ Compensation Settlement Agreements Act of 2009. The bill has been assigned HR 2641. The bill is a reintroduction of HR 2549 from the 110th Congress with important modifications that were made to assure that the legislation is revenue neutral in impact. The primary changes include:

1) reduced the threshold provision below which WC settlement agreements would be exempt from $250,000 to $25,000 or less, so as to more closely mirror the current CMS guideline below which WCMSA’s are not to be submitted for review;

2) Added a cap on the "safe harbor" provision permitting the payment of 10% of the settlement to Medicare as an option to meet set-aside requirements to limit the option to cases involving settlements not to exceed $250,000 in value; and

3) Extended the number of days within which HHS would be required to provide notice of Medicare conditional payments owed from 60 to 90 days.

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